Coal group proposes export tax reduction
Coal group proposes export tax reduction
The Viet Nam National Coal and Mineral Industries Group (Vinacomin) has proposed lowering coal export taxes to 10 per cent in a bid to lift coal consumption by the end of the year.
At a meeting with Deputy Prime Minister Hoang Trung Hai in northeastern Quang Ninh Province yesterday, Vinacomin leaders pushed the case for reducing the current rate from 13 per cent to 10 per cent to combat declining coal sales.
Vinacomin's coal exports showed significant declines last month, falling to 100,000 tonnes following the increase in export tax to 13 per cent in mid July.
The group added that keeping the current rate would likely result in the company failing to meet its end of year consumption target of 39 million tonnes.
Vinacomin reported coal production in the first seven months of this year estimated at 25.7 million tonnes. By contrast, coal sale was estimated at 23.7 million tonnes, roughly 60 per cent of this year's target.
The group's leaders urged the deputy PM to fast track project licenses, extend invitations for upcoming projects, as well as purchase and manage the implementation of the group's affiliates' projects. The leaders also pushed for the government to favour housing projects for workers.
The Deputy PM emphasised the important role the coal industry played in national energy security and praised co-operation between Quang Ninh Province and Vinacomin in addressing the environment impacts of coal exploitation.
Calling for ongoing efforts in environmental sustainability, Hai also advised Vinacomin to continue efforts in effective coal consumption, including greater investment in new technology.
The deputy PM particularly affirmed the importance of workplace safety and the importance of safeguarding jobs and income.
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